Rifle China's First Half Profit Growth Of 190 Million, Shanghai Suzhou Jiu Guang Performance Outstanding

In August 13th, rifle China released 2019 interim results in the first half of this year. In the 6 months ended June 30, 2019, the Group recorded a turnover of 603 million yuan (RMB), down 1.1% from the same period in 2018, and the company owner should earn 190 million 800 thousand yuan, an increase of 7.9% over the same period in 2018. The profit growth was mainly due to the increase in other income.

During the period, Shanghai Jiu Guang and Suzhou Jiu Guang Department store have achieved remarkable growth after adjustment. Among them, Shanghai's first half year sales volume recorded a year-on-year increase of 3.2%, thanks to the introduction of products in the middle and high-end market. In various product categories, cosmetics and skincare products have the most outstanding sales performance, which is the highest among many product categories. Sales increased by 23.9% annually. The average daily passenger volume increased by 1% to about 49 thousand passengers per year, on average, the volume of transactions increased by 3% to RMB 450 yuan.

In order to cater for the needs of the second-class middle class families, Suzhou's Jiu Guang has increased the product mix that matches the target market. The first half sales recorded an annual increase of 5.6%. The department store has introduced more international brands of fashion accessories, household products and baby products, and sales of related products have become the main reason for the annual increase in sales revenue. The average volume of single transactions fell by 3.8% to 408 yuan a year, while average daily traffic increased by 1.5% to about 20 thousand.

The closely watched Shanghai Jingan District Daning retail and commercial complex project is nearly completed. The project retail section, Daning Jiu Guang store, is expected to be put into operation in 2020.

Increasing competition among peers, competition in e-commerce, and rapid changes in the consumption patterns of young generation are all challenges to China. To cater for the consumption pattern of young consumers, riff China will apply to mobile Internet applications, retail management platforms and customer relationship management systems operated by social media platforms for comprehensive marketing activities.